GSMA projects $150m investment boost from Nigeria’s telecom tariff hike

The GSMA, a global non-profit representing mobile network operators, has urged Nigeria’s policymakers to strengthen reforms to maximize the impact of the recently approved 50% tariff increase on mobile networks.

In a statement unveiling its report titled ‘The Role of Mobile Technology in Driving the Digital Economy in Nigeria’, Angela Wamola, Head of Sub-Saharan Africa at GSMA, noted the potential of the tariff increase to unlock over $150 million in additional investments and extend 4G coverage to 94% of the country, reaching nine million new consumers.

Wamola stressed that the tariff hike, which marks the first adjustment in 12 years, is a critical step toward advancing Nigeria’s digital transformation.

She called for additional policy measures to further accelerate the benefits, including streamlining the Right of Way permits process, implementing Critical National Infrastructure legislation to safeguard telecommunications assets, and reducing the mobile sector’s tax burden.

“By enabling mobile operators to invest in expanding and upgrading their networks, the tariff increase will bridge the digital divide and drive innovation across key sectors, including healthcare, education, and agriculture.

“Improved network coverage will enable transformative access to digital services, including online education, telemedicine, e-commerce, and mobile financial tools. Additionally, the investment will drive the adoption of next-generation technologies such as Artificial Intelligence and the Internet of Things, which are essential for advancing innovation across sectors like precision agriculture, connected transportation, and smart healthcare. By fostering the adoption of these technologies, Nigeria is positioning itself as a leader in Africa’s digital economy,” the statement read.

GSMA’s report also noted that enhancing digital adoption across sectors like agriculture, manufacturing, and healthcare could position Nigeria as a leader in Africa’s digital economy.
It further stressed that the tariff hike would bridge the digital divide, promoting access to digital services such as e-commerce, telemedicine, and online education.

The GSMA drew parallels with successes in countries like Kenya and South Africa, where similar reforms have driven digital inclusion and economic growth.

The organization reaffirmed its commitment to supporting the Nigerian government and industry stakeholders in implementing these recommendations.

The statement added, “The GSMA remains committed to supporting the government, regulators, and industry stakeholders to implement these measures.

“The GSMA is a global organisation unifying the mobile ecosystem to discover, develop and deliver innovation foundational to positive business environments and societal change. Our vision is to unlock the full power of connectivity so that people, industry, and society thrive. Representing mobile operators and organisations across the mobile ecosystem and adjacent industries, the GSMA delivers for its members across three broad pillars: Connectivity for good, industry services and solutions, and outreach.

“This activity includes advancing policy, tackling today’s biggest societal challenges, underpinning the technology and interoperability that make mobile work, and providing the world’s largest platform to convene the mobile ecosystem at the MWC and M360 series of events.”